Replies to post #135264 on Sulja Bros. Building Supplies, Ltd (SLJB)

[grandreal]

Shorting is fine!

You "barrow" a share and short it! so if 100mil share exist you can only short 100mil shares

Nake Shorting should (and IS) be illegal!
if 100mil share exist you can naked short 500mil no prob, you do not barrow the shares to short you just short.

[texasholdem]

Its almost too easy a game especially in the pennys, YOU KNOW that SOB you just bought is gonna drop my question is, TEX Why did you buy that thing?...look at it now...Hell gravity alone pulls my stocks down forget the MMs and the traders...Tex.

[creppie]

Shorting might seem outdated. But, I can see how it came to be with the modernization of trading systems. When they did it all manually way back when second-hand selling was just part of the free market.

[Wood Dog]

Legal shorting of actual shares is healthy for the market.
Without it a group, including ownership, could control the price higher than it should be and thereby fool the market at least for a while.

The problem is naked shorting, and the fact is that our system is so corrupt that it cannot be controlled. That is to say, it cannot be controlled without some extreme measures forced upon those who write and enforce the rules.

The market is so profitable that those that could do this have no incentive. So we just try to be smart and work with it. Just my opinion for what it's worth.

[eelfland]

There is one form of short selling that I think is OK, and that is shorting "against the box." That is, you own the shares, but do not want to sell them, for one reason or another, usually to avoid a tax gain. In that case, your broker will allow you to short sell against that position, and if you profit on your short sale and subsequent covering, only that profit is taxable. I see no problem with that, but don't see any real economic benefit that comes from other forms of short selling.